Over the past 4 months I have been paying special attention to all purchases. I have made cut backs on things I felt were not necessary. As you may know I even paid of the house in full.
While doing this I have been tracking income, actual expenses, projected expenses, and how much my total balance for (cash, bond, stock, mutual funds) if invested into 30 year treasuries would spin off.
Well I am happy to report that this is the first time my actual expenses were less than my Financial Independence nest egg would have spun off for the month if it was invested solely in 30 year treasuries paying 4.55%.
I have been using this method as a guide to tell when I could essentially retire risk free. While that is nice, I don't expect my expenses to stay as low as they were this month forever. My true freedom date using the treasury method would be in late 2014. Of course I don't plan on retiring then as I will only be 42. My goal is to continue to grow my wealth and retire around 50-55.
Well I know it was a short month, but it is still nice to see that expense line drop below the FI line on my spreadsheet. Lets hope there are many more months like this in the future.